Samsung stops Galaxy Note 7 sales after battery explosions

The Galaxy Note 7 was released in Australia on August 19, and has yet to ship to the United States.

Tech giant Samsung Electronics Co Ltd is considering a recall of its new flagship Galaxy Note 7 devices amid reports that some of the premium phones are catching fire due to battery problems, a person familiar with the matter said on Friday.

Samsung is issuing what amounts to its first global recall of the flagship smartphone because it has not found ways to specify exactly which phones may endanger users.

Samsung says it is suspending sales of its new smartphone after some of them exploded while they were charging and will let everyone who has one return them. Apple is scheduled to announce its new iPhone next week and Samsung’s mobile division was counting on momentum from the Note 7’s strong reviews and higher-than-expected demand.

“In response to questions on Galaxy Note 7, we are conducting a thorough inspection with our partners”.

At least 35 cases have been found of the phone blowing up while it was charging.

Credit Suisse said a recall or major shipping delays could wipe 1.5 trillion won ($1.34 billion) off the firm’s 2016 operating profit estimate of 30.2 trillion won. He refused to name the battery supplier.

“There was a tiny problem in the manufacturing process, so it was very hard to figure out”, Koh told reporters at a news conference. “It will cost us so much it makes my heart ache. Nevertheless, the reason we made this decision is because what is most important is customer safety”.

The 34-year-old living in the port city of Busan said by email that she was bruised when she rushed out of bed after her phone burst into flames, filling her bedroom with smoke smelling of chemicals. It was not clear when new sales of the devices would begin.

Some buyers reported their phones caught fire or exploded while charging, sharing the photos of scorched phones on social media.

SK Telecom, South Korea’s largest mobile carrier, said about 400,000 units of the Galaxy Note 7 were estimated to have been sold in South Korea.